- Temporary closures of Certain Collision Repair Centers due to Hurricane Activity-
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WINNIPEG, MB, Oct. 11, 2024 /CNW/ - Boyd Group Services Inc. (TSX: BYD.TO) ("BGSI", "the Boyd Group", "Boyd" or "the Company") announced that recent hurricane activity has called for certain Gerber Collision & Glass ("Gerber") locations in the affected areas to be temporarily closed, with some closures made in accordance with mandatory evacuation orders, and some on a discretionary basis to allow employees to prepare accordingly.
During the last week of September, Hurricane Helene resulted in the temporary closure of 47 locations in the states of Florida, Georgia, North Carolina and South Carolina, followed by the temporary closure of 52 locations in the state of Florida as a result of Hurricane Milton.
"In order to allow our employees to focus on ensuring that they and their families are safe, we are continuously evaluating decisions on whether to temporarily close and when to re-open certain locations," said Timothy O'Day, Chief Executive Officer of the Boyd Group. "We are working with our local teams to evaluate damage with a focus on resuming operations as soon as practicable. Our priority continues to be the well-being of our employees."
The recent hurricane activity has impacted our employees, customers and repair locations. These impacts include flooding of locations and vehicles in the process of being repaired, the ability of locations to receive and process work, damage to locations, loss of power, and loss of access roads at certain locations, as well as damage to many vehicles resulting in total losses as a result of hurricane activity. The location closings will result in loss of sales in the period preceding, during and immediately following the periods of closure. The overall magnitude of sales and earnings loss will not be determinable until the activity subsides, the locations reopen, and all of the variables associated with this event, including the availability of insurance can be fully assessed. An estimate of the full impact of these closures should be available for disclosure when the Boyd Group's third quarter earnings report is released on November 5th.
"Our thoughts are with those affected by these devastating events," added Mr. O'Day. "We will continue to monitor the direct impact of the storms on our locations and provide support as needed for our employees and customers."
About Boyd Group Services Inc. Boyd Group Services Inc. is a Canadian corporation and controls The Boyd Group Inc. and its subsidiaries. Boyd Group Services Inc. shares trade on the Toronto Stock Exchange (TSX) under the symbol BYD.TO. For more information on The Boyd Group Inc. or Boyd Group Services Inc., please visit our website at https://www.boydgroup.com.
About The Boyd Group Inc. The Boyd Group Inc. (the "Company") is one of the largest operators of non-franchised collision repair centres in North America in terms of number of locations and sales. The Company operates locations in Canada under the trade names Boyd Autobody & Glass (https://www.boydautobody.com) and Assured Automotive (https://www.assuredauto.ca) as well as in the U.S. under the trade name Gerber Collision & Glass (https://www.gerbercollision.com). In addition, the Company is a major retail auto glass operator in the U.S. with operations under the trade names Gerber Collision & Glass, Glass America, Auto Glass Service, Auto Glass Authority and Autoglassonly.com. The Company also operates a third party administrator, Gerber National Claims Services ("GNCS"), that offers glass, emergency roadside and first notice of loss services. The Company also operates a Mobile Auto Solutions ("MAS") service that offers scanning and calibration services. For more information on The Boyd Group Inc. or Boyd Group Services Inc., please visit our website at (https://www.boydgroup.com).
Caution concerning forward-looking statements Statements made in this press release, other than those concerning historical financial information, may be forward-looking and therefore subject to various risks and uncertainties. Some forward-looking statements may be identified by words like "may", "will", "anticipate", "estimate", "expect", "intend", or "continue" or the negative thereof or similar variations. Readers are cautioned not to place undue reliance on such statements, as actual results may differ materially from those expressed or implied in such statements. Factors that could cause results to vary include, but are not limited to: employee relations and staffing; acquisition and new location risk; operational performance; brand management and reputation; market environment change; reliance on technology; supply chain risk; margin pressure and sales mix changes; pandemic risk & economic downturn; changes in client relationships; decline in number of insurance claims; environmental, health and safety risk; climate change and weather conditions; competition; access to capital; dependence on key personnel; tax position risk; corporate governance; increased government regulation and tax risk; fluctuations in operating results and seasonality; risk of litigation; execution on new strategies; insurance risk; interest rates; U.S. health care costs and workers compensation claims; foreign currency risk; capital expenditures; low capture rates; and energy costs and BGSI's success in anticipating and managing the foregoing risks.
We caution that the foregoing list of factors is not exhaustive and that when reviewing our forward-looking statements, investors and others should refer to the "Risk Factors" section of BGSI's Annual Information Form, the "Risks and Uncertainties" and other sections of our Management's Discussion and Analysis of Operating Results and Financial Position and our other periodic filings with Canadian securities regulatory authorities. All forward-looking statements presented herein should be considered in conjunction with such filings.
